Frequency Electronics (NASDAQ:FEIM) Releases Quarterly Earnings Results, Misses Estimates By $0.76 EPS

Key Points

• Frequency Electronics missed quarterly expectations, reporting EPS of ($0.50) versus the $0.26 consensus estimate, and revenue of $15.40 million versus expectations of $18.57 million.
• The stock rose 0.6% in Wednesday trading to $59.27, with volume well above average as investors digested the earnings release.
• Analyst sentiment remains mixed but constructive, with a consensus rating of Buy and an average target price of $43.67, while recent reports included both upgrades and holds.

Frequency Electronics (NASDAQ:FEIM - Get Free Report) announced its earnings results on Wednesday. The communications equipment provider reported ($0.50) EPS for the quarter, missing the consensus estimate of $0.26 by ($0.76), FiscalAI reports. The business had revenue of $15.40 million during the quarter, compared to analyst estimates of $18.57 million. Frequency Electronics had a return on equity of 12.69% and a net margin of 10.78%.

Frequency Electronics Stock Up 0.6%

NASDAQ:FEIM traded up $0.34 during trading hours on Wednesday, hitting $59.27. 451,931 shares of the stock were exchanged, compared to its average volume of 193,189. The company has a market capitalization of $583.22 million, a P/E ratio of 79.03 and a beta of 0.71. The company's 50 day moving average is $65.64 and its two-hundred day moving average is $56.75. Frequency Electronics has a twelve month low of $18.73 and a twelve month high of $80.00.

Institutional Investors Weigh In On Frequency Electronics

Institutional investors and hedge funds have recently made changes to their positions in the company. Caitong International Asset Management Co. Ltd bought a new position in Frequency Electronics in the third quarter valued at about $25,000. Kestra Advisory Services LLC bought a new stake in Frequency Electronics during the 4th quarter worth about $27,000. Wexford Capital LP bought a new stake in Frequency Electronics during the 3rd quarter worth about $32,000. BNP Paribas Financial Markets lifted its position in Frequency Electronics by 130.5% during the 3rd quarter. BNP Paribas Financial Markets now owns 1,291 shares of the communications equipment provider's stock valued at $44,000 after purchasing an additional 731 shares during the period. Finally, State of Wyoming acquired a new position in Frequency Electronics during the 4th quarter valued at about $49,000. Institutional investors own 58.60% of the company's stock.

Analysts Set New Price Targets

Several equities analysts have issued reports on FEIM shares. Weiss Ratings reiterated a "hold (c+)" rating on shares of Frequency Electronics in a research report on Monday, June 15th. Freedom Capital upgraded Frequency Electronics from a "hold" rating to a "strong-buy" rating in a report on Tuesday, May 5th. Finally, Wall Street Zen upgraded Frequency Electronics from a "strong sell" rating to a "sell" rating in a research note on Saturday, July 4th. One research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and one has issued a Hold rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Buy" and an average target price of $43.67.

About Frequency Electronics

Frequency Electronics, Inc NASDAQ: FEIM is a U.S.-based designer and manufacturer of precision frequency control products and timing solutions. The company's portfolio includes oven-controlled crystal oscillators (OCXOs), atomic frequency standards such as rubidium oscillators, GPS-disciplined oscillators (GPSDOs), microwave synthesizers, and integrated timing subsystems. These products are used to provide stable and accurate frequency and time references for applications that demand high performance and reliability.

FEI serves a broad range of markets, including telecommunications, aerospace and defense, satellite and space systems, test and measurement equipment, and critical infrastructure.

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